The management of Bali’s Ngurah Rai Airport has announced that they will not increase the Aircraft Passenger Service rates (PJP2U), also known as airport tax. The announcement comes as 19 airports across Indonesia will be increasing their taxes in the coming weeks.
The General Manager of PT Angkasa Pura, I Gusti Ngurah Rai International Airport, Handy Heryudhitiawan, confirmed that there would be no change in airport tax for both domestic and international passengers. He said that the slight increase in taxes in November 2021 remains sufficient for the airport to continue to develop as planned.
With this in mind, there is no need to increase taxes and with Bali’s tourism sector being acutely aware of the impact every additional cent can have on potential travelers’ decision to visit the island, they have decided to not increase taxes for now.
Heryudhitiawan said ‘We are still using the old tariff because the calculation of investment and service costs remains the same. Previously, we had adjusted it in November 2021’. He confirmed that the passenger tax for domestic travelers remains at IDR 120,000 (USD 8) and for international passengers at IDR 240,000 (USD 16). This passenger tax is included in the cost of a flight ticket and is automatically applied by the ticket vendor.
The airport tax is calculated by the amount of investment there is happening at any given airport. Every flight ticket to every commercial has an airport tax applied. The tax helps to cover some operational fees and improve facilities.
Airpot tax has increased across 19 of Indonesia’s major airports. This will translate into a slight increase in ticket prices. Bali’s Ngurah Rai Airport is Indonesia’s second busiest airport, with the busiest being Soekarno Hatta International the capital, Jakarta.
The airport tax increases will be implemented in phases with the first phase already underway. As of 24th June 2022, Patimura Airport in Ambon and Eltari Airport in Kupang increased their taxes. Followed by Juanda Airport in Surabaya, Lombok International, and Adisucipto Airport in Yogyakarta on the 16th of July, along with 8 other regional airports across Indonesia.
As of the 1st of August, the final wave of airport tax increases will come into place. Soekarno Hatta Airport in Jakarta, Kualanamu Airport in Medan, Raden Inten Airport II in Lampung, Hassanudin Airport and Fatmawati Airport both in Tanjung Pandang will all implement their new passenger tax tariffs.
Officials in the Indonesian airport sector have said that the increase in taxes is due to an increase in operational expenses and increasing costs of ensuring safety and security across the board. Although the majority of international travelers who are heading to Bali fly directly to the Island of the Gods, many travelers have a layover in Jakarta before catching a connecting flight to Denpasar.
For international travelers stopping over in Jakarta, the increase in airport tax may be noticeable but it is hope that the changing tariffs won’t be off-putting for potential international jet setters.
This increase in airport taxes will impact domestic travelers the most. Indonesian travelers are also facing compulsory booster vaccinations if they want to travel by air, either internationally or domestically. Last week Bali’s Ngurah Rai Airport opened a vaccination clinic at the domestic terminal. The clinic was opened in partnership with the government to help Indonesian citizens get their booster vaccinations before they travel.
For Indonesian travelers who have only recently had the second Covid-19 vaccination, they must instead show proof of a negative antigen or PCR test. Despite the changing travel restrictions for Indonesian citizens the rules as laid out by President Joko Widodo last Sunday remain the same. International travelers must show proof of their full course of Covid-19 vaccinations and if fully vaccinated do not need to present a negative PCR test to fly.
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Tuesday 19th of July 2022
Keep taxes down if you want tourists
Tuesday 19th of July 2022
Anyway, best things in life are duty & tax free.